Motilal Oswal Multicap 35 Fund - Direct Plan

The Motilal Oswal Multicap 35 Fund is an actively managed, open-ended equity mutual fund that restricts its diversification in equity investments to 35 stocks. This fund invests across market capitalizations and market sectors. The fund was launched on April 7th, 2014 by Motilal Oswal Securities Limited and is managed by the Motilal Oswal Asset Management Company Limited.

The Motilal Oswal Multicap 35 Fund invests predominantly in large-cap equity stocks but restricts its diversification to 35 stocks at a time. The fund also marginally invests debt and other money market instruments to provide investors with good liquidity. Presently, the fund invests heavily in the Finance, Technology, Automobile, and Energy sectors of the Indian Economy.

Top 10 Holdings

Company

Holding Type

Asset(%)

HDFC Bank Ltd

Equity

10

Housing Development Finance Corp Ltd

Equity

8

Infosys Ltd

Equity

7

Axis Bank Ltd

Equity

7

Larsen & Toubro Ltd

Equity

6

HDFC Life Insurance Co Ltd

Equity

5

Bajaj Finance Ltd

Equity

5

Tata Consultancy Services Ltd

Equity

5

Cblo / Reverse Repo Investments

Cash - Repurchase Agreement

5

United Spirits Ltd

Equity

4

Asset Allocation(%)

Asset

Percent

Equity

94

Cash - Repurchase Agreement

5

Cash

1

Sector Allocation(%)

Sector

Percent

Banks - Regional - Asia

22

Information Technology Services

14

Insurance - Life

8

Specialty Finance

8

Auto Manufacturers

7

Objective

The investment objective of the Scheme is to achieve long term capital appreciation by primarily investing in a maximum of 35 equity & equity related instruments across sectors and market-capitalization levels.However, there can be no assurance or guarantee that the investment objective of the Scheme would be achieved.

Suitability

This product is suitable for investors who are seeking

• Long-term capital growth

• Investment in a maximum of 35 equity and equity related instruments across sectors and market-capitalization levels

Fund Analysis

The fund has managed to scale up to as asset size of more than 13000 crores because of its ability to generate alpha since its launch. The fund believes in buying and holding on to the stocks with a growth potential. Large cap comprises of more than 70% as of now and it is underweight on midcaps. The Top 10 holdings constitute more than half of the assets. The portfolio seems to be overweight on financials, automobile and healthcare which have proved to be a positive move for the fund returns. With the market participants talking about a correction, it would be a wait and watch as to how the fund manager makes changes in the portfolio as the fund is relatively new in the category and has not got a track record of a hostile market.

Motilal Oswal Mutual Fund

AUM

₹19,090 Cr

About

Motilal Oswal Asset Management Company Ltd. is the appointed Investment Manager to Motilal Oswal Mutual Fund. It was established on December 29th of 2009 and the AMC is registered with SEBI under SEBI (Portfolio Managers) Regulations. Motilal Oswal is one of the most trusted brands in the Indian financial industry and the asset management company provides an array of mutual fund schemes ranging from debt, equity and hybrid.##What makes Motilal Oswal stand out is its investment philosophy, whose aim is, Buy Right: Sit Tight. The AMC has certain primary objectives such as doing quality business and maintaining strong business ethics. They also target to increase the competitive advantage of the business.##They create long term goals and follow the strategy of - buy and hold, which is basically buying securities that they see have an upward potential in long run.